Tesla Insurance Claim Check Bounced

[eJonny]

Does anyone know if Tesla Insurance is in financial trouble?

Long story short, I have been struggling to get a claim paid by Tesla Insurance, but finally received a check. You can read about the claim struggle and saga here: Tesla Insurance Experience Being the Not At Fault Driver

Today, I received notification from my bank that the check bounced for insufficient funds. Of course, when calling Tesla Insurance it doesn't seem like anyone I speak with knows who can address the issue.

So I'm wondering if Tesla Insurance is in financial difficulty.

 

[ucmndd]

Likely incompetence vs insolvency, but what a pain.

 

[eJonny]

Likely incompetence vs insolvency, but what a pain.

I hope you are right. I haven't been able to ascertain the financial relationship between Tesla Motors and Tesla Insurance.

 

[OrbiterTI4]

Can you update the "saga" or elaborate what the check is for? The last status I saw was the damage repair estimate was below your deductible but you were trying to get Tesla Ins to pursue subrogation.

 

[Cleo-n-Company]

I have spent many years on planet Earth.

I've never heard of an insurance company bouncing a check.

Maybe the Trump Organization... but an insurance company - gotta be kidding.

Am hoping they make good for you ASAP. Please update us with the explanation Tesla might provide. That I would like to hear.

 

[croman]

Insurance is state regulated. This kind of stuff gets serious.

 

[ThomasD]

Here is some info if you need it
State National Insurance is the one you should contact. They are the ones who are actually insuring your car
Tesla Insurance
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[TimT]

Here is some info if you need it
State National Insurance is the one you should contact. They are the ones who are actually insuring your car
Tesla Insurance
Get a quote with Tesla Insurance for competitive rates in as little as one minute. Now available in California.

GET QUOTE
By clicking Get Quote, you will be redirected to Tesla Insurance Services, Inc. and agree to the Terms of Service and Privacy Policy.You can also reach our licensed agents at 1-844-34-TESLA to get a quote or discuss your policy and coverages.Learn more about Tesla Insurance
Tesla Insurance ServicesAgency License # 0L89098

1. Tesla © 2020

Does anyone know if Tesla Insurance is in financial trouble?

Long story short, I have been struggling to get a claim paid by Tesla Insurance, but finally received a check. You can read about the claim struggle and saga here: Tesla Insurance Experience Being the Not At Fault Driver

Today, I received notification from my bank that the check bounced for insufficient funds. Of course, when calling Tesla Insurance it doesn't seem like anyone I speak with knows who can address the issue.

So I'm wondering if Tesla Insurance is in financial difficulty.

Good luck...

 

[DrComputer]

Like a good neighbor, State Farm is there

 

[eJonny]

Can you update the "saga" or elaborate what the check is for? The last status I saw was the damage repair estimate was below your deductible but you were trying to get Tesla Ins to pursue subrogation.

Fair point. I will update the saga today.

 

[eJonny]

Here's an update from "Tesla Insurance."

I put Tesla Insurance, because most of my interactions are with Crawford (the outsourced organization that is providing adjuster services to Tesla).

Last night I heard from the lead person on the Tesla account from Crawford. He apologized for the bounced check, explaining that Crawford doesn't have control over the money in the Tesla Insurance account and said that there were a few days where checks bounced and that he didn't have any visibility to this until yesterday. He assured me a new check would be cut and it would include the bank fees that I was assessed. I am supposed to hear from my original adjuster today confirming that a new check has been cut.

I'll update this thread when I receive the new check as Tesla Insurance can only cut paper check and it seems to take about two weeks from the "check cut" notification and a paper check arriving in my snail mail box.

 

[eJonny]

Here is some info if you need it
State National Insurance is the one you should contact. They are the ones who are actually insuring your car

I believe they are the underwriter for Tesla Insurance, but I'm not sure they actually do any policy servicing.

I'm not sure the role of the underwriter versus Tesla Insurance versus the outsourced adjusters, although I'm starting to get a sense that the outsourced adjusters have their act together a bit more than Tesla Insurance does. But, everything is relative.

 

[comanchepilot]

I would file a complaint immediately with your state insurance commissioner - and copy Tesla on it.

Every state has a guarantee fund and if a carrier sends a check that bounces - especially in California -= the regulators will require a detailed explanation of why . . . . if they get enough complaints then they will conduct an audit.

 

[eJonny]

I would file a complaint immediately with your state insurance commissioner - and copy Tesla on it.

I haven't gone that route yet, as, up to this point, Tesla Insurance has fulfilled their obligations.

I'm not sure that poor customer service from Tesla Insurance (their lead employee stopped responding to my emails) warrants a complaint. They have very poor customer service, they don't follow up, and although their outsourced adjusters are better, Tesla Insurance has very few systems to track status, what appears to be very poor internal escalation management and few if any procedural checks on process and quality assurance.

But is that a reason to file a complaint with the insurance commissioner? It's a sincere question as you aren't the first to suggest that I file a complaint with the California State Insurance commission.

 

[comanchepilot]

I haven't gone that route yet, as, up to this point, Tesla Insurance has fulfilled their obligations.

I'm not sure that poor customer service from Tesla Insurance (their lead employee stopped responding to my emails) warrants a complaint. They have very poor customer service, they don't follow up, and although their outsourced adjusters are better, Tesla Insurance has very few systems to track status, what appears to be very poor internal escalation management and few if any procedural checks on process and quality assurance.

But is that a reason to file a complaint with the insurance commissioner? It's a sincere question as you aren't the first to suggest that I file a complaint with the California State Insurance commission.

giving you an NSF check is not fulfilling obligations! YMMV

FYI: Squeaky wheel gets the grease - we took delivery of a 2021 on Wednesday - Calif DMV is going to get a complaint about the process - Tesla may not be a dealer- but in exchange for access to the DMV registration system they agree to follow those rules - and didn't. If no one complains and costs them money as a result - nothing gets changed/

 

[KArnold]

At my company it's standard practice to keep the funds used to pay the customers very low with daily funds transfers. Maybe not a real good control but the idea is to minimize losses should that account become compromised.

If they do the same practice, perhaps someone made a mistake. Side note - I thought I made a mistake once but was mistaken.

I'd assume the best about people and would not run off reporting them to any oversight agency. But instead try to find someone to fix it, which it sounds like you have.

Now if this is happening regularly or you can't get your money, do what you need to do. But if this is a one off and they promptly fix it, let it go.

My $.02.

 

[comanchepilot]

At my company it's standard practice to keep the funds used to pay the customers very low with daily funds transfers. Maybe not a real good control but the idea is to minimize losses should that account become compromised.

If they do the same practice, perhaps someone made a mistake. Side note - I thought I made a mistake once but was mistaken.

I'd assume the best about people and would not run off reporting them to any oversight agency. But instead try to find someone to fix it, which it sounds like you have.

Now if this is happening regularly or you can't get your money, do what you need to do. But if this is a one off and they promptly fix it, let it go.

My $.02.

Mistakes happen. When you make a mistake you fix it. Immediatey. It sounds like they will make him wait a minimum of two weeks for his money. Thats not right. Report them. No poor customer service process gets changed without being forced to do so.

Plus - the only way to capture an insurer going broke and taking money from Peter to pay Paul is for the guarantee fund regulator to see complaints on a regular basis about a particular carriers pay habits -

 

[Cleo-n-Company]

I haven't gone that route yet, as, up to this point, Tesla Insurance has fulfilled their obligations.

I'm not sure that poor customer service from Tesla Insurance (their lead employee stopped responding to my emails) warrants a complaint. They have very poor customer service, they don't follow up, and although their outsourced adjusters are better, Tesla Insurance has very few systems to track status, what appears to be very poor internal escalation management and few if any procedural checks on process and quality assurance.

But is that a reason to file a complaint with the insurance commissioner? It's a sincere question as you aren't the first to suggest that I file a complaint with the California State Insurance commission.

Hi there - a totally sincere question on your behalf. Here's the best way I can answer it.

I've had tremendous troubles with Tesla not honoring our Model S Extended Warranty for a variety of issues. While I am primarily lobbying on my own behalf, trying to get my money back from these thieves, I hope that relating my stories on this forum will encourage other owners with similar troubles to do the same.

Maybe... just maybe... our efforts will force Tesla to clean up its act. I'm pretty skeptical... but if I don't try I only have myself to blame.

 

[slainla]

Wow, you are too nice. It’s totally warranted to make a complaint.

 

[eJonny]

Wow, you are too nice. It’s totally warranted to make a complaint.

I'm starting to feel the same way...

 

[EVortex]

Insurance companies have many bank accounts for different purposes. It’s a basic treasury function to continuously make sure that each account is funded as needed. Sounds like someone failed to perform that basic function. No excuse for an error like that.